London: The Royal Bank of Scotland on Monday
said its proposed deal to sell the Pakistan division to MCB
Bank has lapsed due to regulatory hurdles.
In August last year, RBS had said it had reached an in
principle agreement with Pakistan's MCB Bank for the sale of
its 99.37 per cent holding in RBS Pakistan for a total
consideration of USD 87 million.
Subject to regulatory approvals, the proposed transaction
was expected to close by the fourth quarter of 2009.
"The necessary regulatory approvals were not obtained,
and closing did not occur, by December 31, 2009, and
accordingly the agreement and the transaction have now
lapsed," RBS said in a statement.
As per the agreement with MCB, if the necessary
regulatory approvals were not obtained by December 31, then
the same would lapse.
PTI
First Published: Monday, January 04, 2010, 19:04